Importing goods involves a complex web of regulations and very detailed documentation. Errors in this process can lead to costly delays and penalties. Here are some critical pitfalls importers should avoid:
1. Omitting the HTS Codes on Invoices
The Harmonized Tariff Schedule (HTS) codes are essential in the import process; without them, the customs entry cannot be filed. Correct and complete HTS codes must be part of the commercial invoice, and failing to include them will lead to delays.
2. Complete and accurate Importer Information
Every invoice should display the importer’s details, including their name, address, and contact number.
3. Neglecting Notes on Free Trade Agreement (FTA) Eligibility
If your shipment qualifies for a Free Trade Agreement, including this information on the invoice is crucial. Properly documenting FTA eligibility can lead to significant savings on duties.
4. Vague Descriptions of Cargo
Providing a clear and detailed description of the cargo is vital. Inaccurate or generic descriptions can lead to classification challenges and customs inquiries. Ensure that each item is described precisely to avoid complications and potential fines.
5. Lacking Tax ID and Ultimate Consignee Information
For import shipments in which the importer of record is a foreign entity, It is essential to provide the Tax ID and details of the ultimate consignee. According to CBP in this type of shipment, the “ultimate consignee at the time of entry or release is defined as the proprietor of the U.S. premises to which the merchandise is to be delivered”. This information helps customs verify the transaction’s legitimacy and know where the cargo will end if further follow-up is required after the cargo has been released.
6. Submitting the Importer Security Filing (ISF) Late
The Importer Security Filing (ISF) must be submitted to U.S. Customs and Border Protection (CBP) at least 24 hours before loading the cargo onto a vessel in the last foreign port of call before arriving at the US port of unloading. Delaying this submission can result in fines and might even halt your shipment, impacting your delivery timelines. ISF is not required for AIR import shipments.
7. Excluding Carrier SCAC Code in the ISF
The Standard Carrier Alpha Code (SCAC) is crucial for identifying the carrier in your ISF. Without the SCAC code, CBP may face challenges in obtaining accurate information about the carrier, limiting its ability to mitigate security risks effectively. As a result, your shipment may be delayed or denied entry into the country until the necessary information is provided.
PROMPTUS is a licensed C-TPAT certified customs broker in the United States. We handle ISF’s filings, Consumption entries, FTA entries (DR-Cafta, USMC, etc.), entries involving any government agencies, in-bond entries, temporary importations (TIB’s), and other types of entries. We train and counsel first-time importers on US CBP requirements, regulations, documentation & compliance.
Our brokers will assist you in navigating customs regulations and procedures. Contact us today at 1-877-776-6799.
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